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Will Ad Networks Compete for Your Ads?

bokelley writes "TechCrunch has an article today about a new product called RMX Direct that holds a real-time auction for every ad on a site. Networks and advertisers bid based on the quality of the user (geography, site, time of day, etc). This could be game-changing for sites and blogs; if networks have to compete, will we see AdSense disclose more about its payouts to publishers? Will other networks like Advertising.com and ValueClick participate, or will they continue to force publishers to make hard choices? In a lot of ways, this has similarities to the challenges that Linux faces in a Windows world. The open source community has been fighting for more than a decade to make the progress it has, and we're not there yet — will online media be different?"

6 of 48 comments (clear)

  1. Hope it works by andrewman327 · · Score: 3, Insightful

    I fail to see the comparison between Linux and this technology. Linux is an OS and this is a market driven revenue model. That said, I think that this technique has a lot of promise. My concern is that it will take too much attention from larger advertisers to bid on different ad spots. Some people maintain thousands of ads. Market driven technology has proven itself effective in many different situations and applications and I sincerely hope that this will give AdSense a run for its money. Regardless of what AdSense does that is similar, this will at least present some competition.

    --
    Information wants a fueled airplane waiting at the hangar and no one gets hurt.
  2. Similar to Linux vs Windows? by sshore · · Score: 4, Insightful
    In a lot of ways, this has similarities to the challenges that Linux faces in a Windows world.

    I don't see it. How is selling advertising space similar to the challenges of Linux in a Windows world?

    Seems like that was just thrown in as a hook.
  3. Re:AdSense already does this . . .? by andrewman327 · · Score: 3, Informative

    The linked article talks about a small scale experiement in bidding on print ads. Considering the auctions ended back in February I do not know if Google plans to do it again.

    --
    Information wants a fueled airplane waiting at the hangar and no one gets hurt.
  4. Misnomer by The+Dodger · · Score: 3, Informative
    Their definition of "auction" seems somewhat different from mine. It seems to me like this is simply a system that will tell you which of your ad networks will pay you the most for displaying their ad to a given user. Not quite a true auction where the ad networks can bid for the ad space on the page being displayed to that user.


    D.

  5. Web Revenue Stream by Petskull · · Score: 3, Insightful

    Though this idea strikes me as fleeting, it brings up the good ancient question of paying for the web.

    So far, the web has been treated as commercial space by PR depts; somewhere between TV and print media. Sort of a place to hold eyeballs while advertisments get sprayed onto them. To me, it seems to be failing. For some reason, we can't seem to match worth with dollar value. Yet webtech (servers, hosting, design) still generate a significant cost.

    I think that once we figure out how to pay for cyberspace other than as a hobby expense, the business model will have profound implications on web ads, filesharing, and IP.

  6. Submitted by Right Media Employee by TomHandy · · Score: 3, Insightful

    Shouldn't there have been some mention that this story was submitted by bokelley@rightmedia.com? It makes some of their digs at the competition, as well as the attempt to frame RMX Direct as the "Linux" in this "fight", seem like apretty shameless attempt at free advertising and shameless pandering to the Slashdot crowd.